Forza Capital's Epping Home & Life sale sets Victorian retail record

Forza Capital sold the Epping Home & Life retail centre for A$117.7 million. This is the largest large format retail transaction in Australia in 2026 and sets a new Victorian record for private investor acquisitions in the sector. The price is more than $30 million above the next largest LFR transaction of the year. It surpasses the previous Victorian private investor record of $80.5 million set in 2018. Nationally, only one LFR asset has sold for more in almost four years. Only three large format retail properties have traded above A$100 million nationally in that period. Stuart Taylor of JLL stated the result set a new benchmark for the sector.

Asset characteristics and performance

The property spans 26,550 square metres with 28 tenancies. It generates approximately A$7.3 million in annual income. The centre has a strong 7.6-year weighted average lease expiry. It is leased to a roster of national retailers.

About 3 percent of the space is currently vacant. The site includes 783 at-grade car spaces.

Location and strategic context

Epping Home & Life is located at 560-650 High Street, Epping, 17 kilometres north of the Melbourne CBD. It sits on a 7.4-hectare freehold landholding with frontages on three streets. The property is directly opposite the 88,000 square metre Pacific Epping regional mall. Its location in Victoria’s Activity Centre Zone Schedule 1 is key. Zoning and built-form controls support future development of up to 12 storeys, subject to council approval.

Forza Capital’s value creation

Forza Capital purchased the asset from HMC Capital in early 2023 for A$54.3 million. The sale price represents a 117 percent increase. At the time of purchase, the centre had 22,038 square metres of lettable area across 30 tenancies and a weighted average lease expiry of just 1.7 years. The firm added more than 7,100 square metres of new tenancy space after acquisition. The price per square metre of lettable area rose 80 percent from about A$2,462 to A$4,433.

Market positioning and yields

The sale price reflects a yield of approximately 6 percent according to JLL. At A$4,433 per square metre, the buyer paid about 1 percent more per square metre than the price achieved in the Chadstone Homemaker Centre transaction. The campaign attracted strong bidding from REITs, wholesale funds, and syndicates. Adam Murchie, Co-founder and Director of Forza Capital, acknowledged the challenging environment. "This is a good result for our investors in a difficult investment climate," Murchie said.

Settlement is scheduled for early next year, contingent on the completion of new stores for Rebel Sport and Supercheap Auto.